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Old 06-10-2014, 08:33 AM   #1
JTLaz
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Airline that will undercut American, Delta, and United International Fares

Oh man I hope this gets approved. Their prices are almost half what the big guys above are charging for international travel.

http://dailysignal.com/2014/06/09/3-...ional-travel/#
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Old 06-10-2014, 08:54 AM   #2
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Hopefully our politicians don't fvck this up......but who are we kidding?
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Old 06-10-2014, 09:05 AM   #3
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I hope this happens. I just flew Delta two days ago and I can honestly say I thought I was flying on a budget airline but paying regular prices (not to mention getting nickle an dimed to death). Some competition to make them justify their higher prices would be nice, or having a cheaper alternative with the same service.
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Old 06-10-2014, 09:11 AM   #4
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They're from Europe, that makes sense - Have you seen airfare prices in Europe? It's crazy how cheap it is which really makes you wonder why/how they are able to charge such low prices while we pay so much
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Old 06-10-2014, 09:17 AM   #5
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unions would possibly strike with this. i don't see it happening either at all or staying around very long
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Old 06-10-2014, 09:34 AM   #6
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unions would possibly strike with this. i don't see it happening either at all or staying around very long
Yet another reason to dislike airline unions
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Old 06-10-2014, 09:42 AM   #7
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They're from Europe, that makes sense - Have you seen airfare prices in Europe? It's crazy how cheap it is which really makes you wonder why/how they are able to charge such low prices while we pay so much
Me either? I know the mechanics over there are paid equivalent to ours. Maybe it's subsidies on airport fees. The US carriers are on the hook to pay domestic airport fees, but at the same time the US gov makes subsidies available for really expensive airports like CDG so it seems like a wash if the EU is doing it for their carriers. Fuel is cheaper for US carriers as well. Maybe US is labour is more expensive than European labor because of healthcare?? The money is going somewhere because the US airlines aren't getting rich of it.
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Old 06-10-2014, 09:56 AM   #8
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Another RyanAir? Watch the documentary "Flying Cheap" about the birth of regional airlines. I believe it's on netflix and it's a short one.
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Old 06-10-2014, 10:13 AM   #9
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unions would possibly strike with this. i don't see it happening either at all or staying around very long
The unions would have to consider striking very carefully. Most often, a strike is a union vs employer dispute where the union can portray the employer as the bad guy.

In this case, the union would be walking out on their own employers and customers because of something another employer is doing. That would be a very tough PR sell. The union airlines could point to union demands as the reason they can't be price-competitive, which would make it very tough for the union to paint itself as the good guy.

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Me either? I know the mechanics over there are paid equivalent to ours. Maybe it's subsidies on airport fees. The US carriers are on the hook to pay domestic airport fees, but at the same time the US gov makes subsidies available for really expensive airports like CDG so it seems like a wash if the EU is doing it for their carriers. Fuel is cheaper for US carriers as well. Maybe US is labour is more expensive than European labor because of healthcare?? The money is going somewhere because the US airlines aren't getting rich of it.
US airlines are getting rich. At the moment.

The troubles with airlines are they operate on such razor thin margins, it's an extremely price-sensitive market, their volume is huge, and fuel costs can be very unpredictable. So they very quickly go from raking in these incredible profits to losing money like crazy and going bankrupt or being taken over by another airline.

http://travel.iafrica.com/flights/942140.html
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Old 06-10-2014, 04:17 PM   #10
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Hopefully our politicians don't fvck this up......but who are we kidding?

Oh they will.


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Old 06-10-2014, 04:24 PM   #11
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US airlines are getting rich. At the moment.

The troubles with airlines are they operate on such razor thin margins, it's an extremely price-sensitive market, their volume is huge, and fuel costs can be very unpredictable. So they very quickly go from raking in these incredible profits to losing money like crazy and going bankrupt or being taken over by another airline.

http://travel.iafrica.com/flights/942140.html
Well, those tight margins are the real rub. If I recall the 777-200 Houston to Gatwick flight CA had to sell $700k in tickets to make money in 2005. One little ripple and they start hemorrhaging money like no other business. So even if they are collecting good revenues now over a 10 or 15 year business cycle they are not getting rich.
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Old 06-10-2014, 04:31 PM   #12
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Well, those tight margins are the real rub. If I recall the 777-200 Houston to Gatwick flight CA had to sell $700k in tickets to make money in 2005. One little ripple and they start hemorrhaging money like no other business. So even if they are collecting good revenues now over a 10 or 15 year business cycle they are not getting rich.
That's why I said "at the moment".

A 2.4% margin is wacky on a $746 billion industry. At volumes like that, if that margin tips into the negative by just a bit, it's a serious beating.
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Old 06-10-2014, 04:42 PM   #13
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I can honestly say that because of Griffin, i am desensitized to alot of wierd stuff!
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Old 06-10-2014, 05:14 PM   #14
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Yet another reason to dislike all unions
FTFY
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Old 06-10-2014, 05:20 PM   #15
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Old 06-10-2014, 05:41 PM   #16
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FTFY
I can see their purpose in certain instances, but for a majority of cases, I don't see their point. With that said, it's their right to organize.
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Old 06-10-2014, 05:57 PM   #17
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Guys,

You do realize that part of Norwegian's plan is to use cheaper foreign, American based labor, to give you these cheap airline tickets.

I know the perception is that we get charged over the odds for airline tickets but most US airline workers are getting the same money as they were paid 20 years ago.
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Old 06-10-2014, 07:01 PM   #18
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"Airlines are currently getting rich"

Lol @ you
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Old 06-10-2014, 07:05 PM   #19
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Guys,

You do realize that part of Norwegian's plan is to use cheaper foreign, American based labor, to give you these cheap airline tickets.

I know the perception is that we get charged over the odds for airline tickets but most US airline workers are getting the same money as they were paid 20 years ago.
In the US you are required to have an FAA issued A&P ticket to work on airframe and powerplant. The european equivalent is the AMT card (Aircraft Maintenance Technician). A non A&P can work under another A&Ps ticket provided the A&P certifies the work under his own number. They do this in China and down in Central America already but when I last was in the industry the non-certifieds worked on "Trim" detail only. Seats, windows, doors, lavetory etc.. The doors were moved over the the Airframe side after some trim was found installed backwards on a CO plane a few years ago from a shop in Central America using non-certifieds.

So on the mechanics side safety shouldn't be an issue. You have to read and write english and be A&P certified to work on the plane then you need an higher up IA to sign off on all the work the A&Ps signed off on. Then there's Flight Engineers on the floor that monitor repairs outside a certain scope and all the majors will have an FAA rep on site to make sure there's no jacking with the paperwork. There are large fines and suspensions if you even so much as fudge an inspection time by a few minutes. Regional carriers follow the same guidelines but with less FAA supervision.
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Old 06-10-2014, 08:10 PM   #20
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Erik,

Im not being a jerk but I know the rules about certification; I'm a 10000 hour FAA ATP pilot.

The problem with Norwegian is that they're trying to use the maritime off-shore based model, to circumvent Open-skies laws. It isn't a level playing field and gives them an unfair advantage against US registered airlines.

They're a Norwegian headquartered company, flying Irish registered aircraft, that can be flown by Irish/EASA licensed pilots and US FAA certified flight attendants to and from the US, with domiciles/bases in America.

Anyone here who thinks the airlines are raking it in, should do a google search for the combined losses in the US airline industry over the last 10 years. It's staggering.

Ticket prices are the cheapest they've ever been, yet fuel is the single highest expense of any airline today and it's only going to go up.
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